SLS 15RS-60 ENGROSSED
2015 Regular Session
SENATE BILL NO. 102
BY SENATOR MORRELL AND REPRESENTATIVE TALBOT
TAX/TAXATION. Limits expenditures for ATL services eligible for motion picture
investor tax credits to 50% of total production expenditures in the state. (1/1/16)
1 AN ACT
2 To amend and reenact R.S. 47:6007(B)(10) and to enact R.S. 47:6007(B)(17), relative to
3 motion picture investor tax credits; to limit certification for credits if certain
4 expenditures exceed a certain percentage of production expenditures; and to provide
5 for related matters.
6 Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:6007(B)(10) is hereby amended and reenacted and R.S.
8 47:6007(B)(17) is hereby enacted to read as follows:
9 ยง6007. Motion picture investor tax credit
10 * * *
11 B. Definitions. For the purposes of this Section:
12 * * *
13 (10)(a) "Production expenditures" means preproduction, production, and
14 postproduction expenditures in this state directly relating to a state-certified
15 production, including without limitation the following: set construction and
16 operation; wardrobes, makeup, accessories, and related services; costs associated
17 with photography and sound synchronization, lighting, and related services and
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 102
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1 materials; editing and related services; rental of facilities and equipment; leasing of
2 vehicles; costs of food and lodging; digital or tape editing, film processing, transfer
3 of film to tape or digital format, sound mixing, special and visual effects; and
4 payroll.
5 (b) This The term "production expenditures" shall not include
6 expenditures for the following:
7 (i) Marketing and distribution, non-production related overhead, amounts
8 reimbursed by the state or any other governmental entity, costs related to the transfer
9 of tax credits, amounts that are paid to persons or entities as a result of their
10 participation in profits from the exploitation of the production, the application fee,
11 or state or local taxes.
12 (ii) Expenditures for Above the Line (ATL) services for the production
13 that exceed fifty percent of total production expenditures in the state for the
14 production.
15 * * *
16 (17) "Above the Line (ATL) services" means services such as those of a
17 producer, executive producer, line producer, coproducer, assistant producer,
18 actor, director, casting director, screenwriter, and other services of job positions
19 that are associated with the creative or financial control of a production and
20 customarily considered as Above the Line services in the film and television
21 industry.
22 * * *
23 Section 2. The provisions of this Act shall apply to productions certified on and after
24 January 1, 2016.
25 Section 3. This Act shall become effective on January 1, 2016.
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 102
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The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Riley Boudreaux.
DIGEST
SB 102 Engrossed 2015 Regular Session Morrell
Present law allows a motion picture investor tax credit for a percentage of "production
expenditures" by a movie production in the state.
Proposed law provides that the term "production expenditures" shall not include
expenditures for "Above the Line" (ATL) services for the production that exceed 50% of
total production expenditures in the state for the production.
"Above the Line (ATL) services" is defined as services such as those of a producer,
executive producer, line producer, coproducer, assistant producer, actor, director, casting
director, screenwriter, and other services of job positions that are associated with the creative
or financial control of a production and customarily considered as above the line services
in the film and television industry.
Effective January 1, 2016.
(Amends R.S. 47:6007(B)(10); adds R.S. 47:6007(B)(17))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Revenue and Fiscal
Affairs to the original bill
1. Changes the proposed law from a prohibition on any tax credits if ATL
services exceed 50% of production expenditures to a limitation on granting
tax credits for expenditures for ATL services which exceed 50% of total
production expenditures.
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.